Departure Archives - H Touring Bikes

Harley Davidson’s CEO Under Fire: Zeitz’s Upcoming Retirement Amid Investor Concerns and Taliban Remarks Fallout

Jochen Zeitz, the German executive who took charge of Harley-Davidson in May 2020, has announced his intention to retire in 2025. His time in the role has been characterized by bold restructuring initiatives, dissatisfaction among investors, and a recent backlash stemming from comments likening business practices to the Taliban.

Strategic Transformation: The Hardwire Initiative

After taking the reins as CEO, Zeitz introduced “The Hardwire,” a comprehensive five-year strategy aimed at breathing new life into the renowned motorcycle brand. This plan targeted high-margin products, reduced emphasis on underperforming international markets, and sought to modernize the brand to attract a younger demographic. Despite these initiatives, Harley-Davidson has projected stagnant to declining profits and motorcycle revenue for 2025, citing decreased consumer expenditure on luxury items.

Harley CEO Zeitz Confronts Investor Backlash, Considering Departure

Shareholder Discontent: H Partners’ Play

In April 2025, the investment firm H Partners, which holds a 9% stake and is Harley-Davidson’s second-largest shareholder, commenced a campaign to remove Zeitz and two other directors from the board. The firm criticized the company’s falling sales and stock value, along with its remote work strategies, asserting that the existing leadership is failing to uphold Harley’s cultural essence and attractiveness. Harley’s stock has plummeted by 45% over the past year, indicating the company’s struggle to entice new riders.

Controversial Remarks: The Taliban Analogy

In an additional complication, Zeitz attracted criticism for a controversial remark that involved a comparison to the Taliban. While addressing traditional capitalism, his comments were seen as equating specific business practices with those of the extremist group. These statements elicited immediate condemnation from the motorcycle community and beyond, with critics accusing Zeitz of jeopardizing Harley-Davidson’s image of American freedom and resilience. The company supported Zeitz, asserting that his remarks aimed to critique traditional capitalism rather than directly linking it to the Taliban.

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Photo @HarleyDavidson

Pay and Transition

Zeitz’s compensation has faced significant scrutiny as well. In 2023, his total earnings fell by 72% compared to the previous year’s $43.3 million, significantly inflated by a nearly $32 million bonus tied to stock awards. This decline signifies the company’s underachievement and not meeting specific share price benchmarks.

As Harley-Davidson embarks on the search for a new CEO, Zeitz is expected to uphold his position until a successor is appointed. His departure signals the conclusion of a challenging chapter for the brand, as it navigates internal dissent, public relations crises, and the need to redefine its image in an evolving market.

Final Thoughts

Harley-Davidson embodies more than just a motorcycle brand; it represents an icon of rebellion, freedom, and the American journey. However, being a classic does not ensure survival in today’s fiercely competitive market. Younger riders increasingly prefer more affordable, tech-savvy, and environmentally friendly alternatives, leaving Harley-Davidson in a fight for new customers. Coupled with increasing investor dissatisfaction, PR challenges, and leadership uncertainty, the company’s future appears tenuous. To remain more than just a nostalgic brand or a collector’s emblem, Harley-Davidson must forge a radical, unified vision, which is unlikely to emerge amid controversial remarks about the Taliban.

An additional Harley-Davidson executive has resigned just days after the renowned motorcycle manufacturer’s CEO announced his departure.

The recent shifts in leadership have left some fans anxious about the future of the 122-year-old company, and even a director has expressed serious concerns.

Harley-Davidson board member Jochen Zeitz has resigned just days after the company’s CEO said he would step downCredit: Harley Davidson

Harley-Davidson motorcycles in a Berlin showroom. — In his resignation letter, Dourdeville criticized the company for ‘severe underperformance’ and ‘cultural depletion’ (stock image)Credit: Getty

Jochen Zeitz, Harley-Davidson CEO, in an interview. — This follows the announcement from the CEO of Harley-Davidson that he will step down once his position is filledCredit: Getty

Headquartered in Milwaukee, Wisconsin, the company is now in a state of upheaval after board member Jared Dourdeville expressed “grave concerns” regarding the brand and abruptly resigned.

In a scathing letter to the board, Dourdeville, representing Harley’s second-largest shareholder H Partners, condemned the company for “severe underperformance” and “cultural depletion.”

He called for the immediate resignation of CEO Jochen Zeitz and two additional directors, accusing them of leading the brand into disarray.

The April 1 letter was direct, criticizing Harley’s work-from-home policy, high turnover, and the departure of key senior leaders.

Dourdeville resigned on April 5, just days after dispatching the letter and prior to a meeting scheduled to address his grievances.

His dramatic exit coincides with Zeitz announcing he’d retire once a new CEO is appointed.

Zeitz, who has been at the helm since 2020, revealed his retirement on Tuesday after five years at the company.

The brand is currently looking for a successor.

However, Dourdeville was unwilling to wait and demanded more changes at the top.

He highlighted plummeting sales, excessive inventory, and a deteriorating company culture under Zeitz’s “The Hardwire” strategy, as reported by Fox local affiliate WITI.

Harley-Davidson CEO Resignation & Tariff Troubles: A Critical Moment

Implemented in 2020, the five-year plan aimed to increase profits and expand Harley’s customer demographic, yet with only a few months remaining, it has not met expectations.

The brand has struggled to engage younger riders as its primary baby boomer audience ages out.

In response to declining sales, Harley has shifted focus towards higher-end Touring bikes and custom models aimed at wealthier buyers.

However, internal tensions have been escalating for months.

Harley-Davidson Closures in 2024

There are over 650 Harley-Davidson dealerships across the United States.

Nonetheless, numerous shops have closed for various reasons throughout 2024 – with little to no explanation.

The following is a list of some Harley-Davidson locations that have closed this year and their reasons for shutting down:

A San Francisco branch closed in June 2024 after 110 years, attributed to ‘chaos’ caused by new management.

Miracle City Harley-Davidson in Titusville, Florida, shut its doors in September 2024 with no explanation provided.

Harley-Davidson’s historic location in New York City closed on September 28, 2024, with the proprietor citing economic concerns.

Reiman’s Harley-Davidson dealership in Kewanee, Illinois, ceased operations in October 2024 after the owners sold the business to the Walter Brothers Harley Davidson dealership in Peoria, Illinois.

Another Illinois dealership ceased operations in November 2024.

Additionally, the dealership in West Bend, Wisconsin, is ‘temporarily closing for the season’ from November 2 until April 1, 2024.

In 2025, Hideout Harley-Davidson in Missouri announced it would close at the end of March.

Harley responded to Dourdeville’s letter, stating he was never a “dissenting voice” in meetings and left before the board could deliberate on his complaints.

“Mr. Dourdeville was not a dissenting voice in the boardroom as to the matters he raised in his letter,” the company asserted in an SEC filing.

This leadership shakeup also coincides with Harley preparing for new tariffs on American-made motorcycles sold in Europe – a situation executives warned could drive prices into the six-figure range.

Harley alerted Congress that the EU’s proposed tariffs are “devastating” and “indefensible,” with the CFO warning that a Road Glide in Denmark could leap from $28,000 to $124,000, as previously reported by The U.S. Sun.

Chief Financial Officer Jonathan Root testified that tariffs could severely impact international sales and claimed Harley is being politically targeted.

He added that the company absorbed $166 million in costs during the last round of tariffs in 2018 without passing the expense onto consumers.

Employing 4,500 American workers, Harley sources the majority of its components from US suppliers and indicates it is already facing pressures from Trump’s broader auto industry tariffs.

The brand has struggled to connect with younger riders as its core baby boomer crowd ages outCredit: AFP